Panzhihua-Xichang region is in south Sichuan province, which is non-contestable for seaborne supplies because of the long transport distance from the coast. It is the third largest iron ore producing region after Anshan-Benxi and East Hebei. The ore is Panzhihua type which has high vanadium and titanium(V-Ti) content and which are produced as a by-product. The majority of mines are surface operations. State-owned-enterprise (SOE) mines account for almost 100% of total production.